In the context of the measures taken during the health emergency due to coronavirus, the government issued Emergency Decree No 487/2020 (the “ED”) which extends for 60 days the prohibition to dismiss employees without due cause and for the reasons of lack or decrease of work or force majeure.
At the same time, the ED also extends the prohibition to suspend employees for the reasons of force majeure or lack or decrease of work for the term of 60 days. Suspensions performed in the terms of section 223 of the Employment Contracts Act are exempted from the prohibition. This is, those agreed individually or collectively or approved by the enforcement authority.
The prohibition of layoffs and suspensions extended by the ED had originally been established on 31 March 2020 by Decree No 297/2020 and for the term of 60 days.
The ED makes it clear that those dismissals or suspensions performed in breach of its rules will be void and the employment relationships will be maintained under its current conditions.
